Taiwan PMI

Taiwan: Manufacturing PMI falls to over one-year low

November 3, 2014

The manufacturing Purchasing Managers’ Index (PMI), elaborated by HSBC and Markit, fell from 53.3 in September to 52.0 in October. The reading marked an over one-year low; however, the PMI index still remains above the 50-threshold that separates expansion from contraction in the manufacturing sector.

According to HSBC, the result, “confirms that Taiwan’s manufacturing sector is going through a period of more subdued growth.” Input costs recorded the first decline in 14 months and purchasing activity expanded at the weakest rate in almost a year and a half. However, manufacturing firms raised their workforce numbers for the 17th consecutive month.

FocusEconomics Consensus Forecast panelists expect investment to expand 3.3% this year, which is down 0.1 percentage points over last month’s forecast. For 2015, participants expect investment to increase 3.1%, which is up 0.3 percentage points from the previous month’s forecast.